BUSINESS

Korean economy on recovery track thanks to exports: govt. report

By Yonhap
  • Published : Dec 8, 2017 - 11:09
  • Updated : Dec 8, 2017 - 11:09

The South Korean economy is maintaining its current recovery pace on the back of strong overseas sales, although there are some downside risks, such as North Korea's provocations and ongoing trade issues, a government report said Friday.

"The South Korean economy is keeping its recovery pace, aided by robust exports in line with the improving global economy," the finance ministry said in its monthly economy assessment report. "For the time being, its recovery pace is expected to continue going forward," it said.

The report, called the "Green Book," is based on the latest economic indicators of such key factors as output, exports, consumption and corporate investment, which provide clues as to how the economy has been faring in recent months.

(Yonhap)

South Korea's exports have been on a steep upside cycle since November 2016 led by the spike in global demand.

Exports rose 9.6 percent in November from a year earlier, extending its gain for the 13th consecutive month, buoyed by stellar sales of semiconductors and petrochemical products.

But output in manufacturing and mining fell 1.1 percent in October from a month earlier, after gaining ground for three months in a row, due to a base effect.

The demand side also seemed to suffer a correction on the Chuseok holiday. In October, retail sales dipped 2.9 percent on-month. But sales at department stores and outlets showed signs of rebounding, it said.

And facility investment dipped 14.4 percent in October due to a base effect.

The government said there are still lingering outside downward pressures, including trade issues with the United States and potential geopolitical risks centered on North Korea. (Yonhap)